Cablegate: February 4, 2010 Mfa Press Briefing: Taiwan Arms, Iran,

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UNCLAS SECTION 01 OF 02 BEIJING 000294

SIPDIS

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TAGS: PREL PHUM PARM ETRD MNUC CH JA IR SZ

SUBJECT: FEBRUARY 4, 2010 MFA PRESS BRIEFING: TAIWAN ARMS, IRAN,
EXCHANGE RATE, MUNICH CONFERENCE, GITMO UIGHURS

BEIJING 00000294 001.2 OF 002

1. Key points at the February 4, 2010 MFA press briefing were:

-- The announced sale of arms to Taiwan is a "gross intervention"
into China's internal affairs and in complete disregard to China's
"stern" opposition.

-- China has taken note of the report regarding Tehran's plans to
sell enriched uranium and is in consultation with relevant parties
on the fuel supply of Tehran's research reactor.

-- China has improved its "market-based, managed and floating"
exchange rate system and will continue to give "full play" to market
supply and demand in the formation of its exchange rates. The
Renminbi exchange rate has nothing to the U.S.'s current trade
deficit with China.

-- Foreign Minister Yang Jiechi will attend the upcoming Munich
Security Conference. Meetings between U.S. and Chinese delegates
are still under consultations.

-- Relations between Switzerland and China will be undermined by
Switzerland's announcement that it will take two Uighur detainees
from Guantanamo Bay.

U.S. Arms Sales to Taiwan
-------------------------

2. Ministry of Foreign Affairs Spokesman Ma Zhaoxu said that
sanctions will "surely" be imposed on U.S. companies involved in the
sale of arms to Taiwan. The sale of arms goes against the three
joint communiques between the U.S. and China, especially the August
17th communique. Keeping good relations between the two countries
is conducive to world peace, in the interest of both countries and
their people, and conducive to world peace and stability.

3. When asked if the threat of sanctions now, and not at the
announcement of arms sales in 2008, signified a change in attitude
to the U.S., Ma replied that he would allow those who are making
such comparisons to draw their own conclusions.

4. In response to a question about the impact of the arms sales on
China's relations with Taiwan, Ma referred those interested to the
Taiwan Affairs Office of the State Council.

Tehran's Plans to Sell Enriched Uranium
---------------------------------------

5. Ma said that the Chinese government is aware of reports that
Tehran has plans to sell enriched uranium and is in consultations
with relevant parties, including IAEA, to reach an agreement as soon
as possible and settle the issue.

Control of the Exchange Rate
----------------------------

6. Spokesman Ma stated that he had not seen statements President
Obama recently made about the Renminbi exchange rate, but that the
current trade deficit that the U.S. has with China is not related to
the value of the RMB. The Chinese government views the exchange
rate as a major factor in stabilizing international markets. Ma
stated that he hopes that the U.S. will regard the issue in an
"objective and fair light," and that "accusations and pressure" will
not resolve the issue.

Gao Zhisheng
------------

7. Spokesman Ma responded to questions regarding the location of
missing lawyer Gao Zhisheng by stating "I don't have the information
that you are looking for." When asked if he could speak to the
relevant authorities and have an answer by the next press briefing,
he said that it "might be possible."

Yang Jiechi to Attend the Munich Security Conference
--------------------------------------------- -------

8. According to Ma, the Munich Security Conference will focus on
four major points 1) Energy and Transportation Security, 2) Climate
Change, 3) Nonproliferation and 4) NATO Development. Ma stated that
Foreign Minister Yang Jiechi will attend, and will post relevant
statements on the MFA website.

9. Asked if China would intensify its relations with NATO at the
Munich Security Conference, Ma responded that the two sides have
types of contact that will continue in the future.

BEIJING 00000294 002.2 OF 002

Guantanamo Uighurs to Switzerland
---------------------------------

10. Switzerland's announcement of plans to accept two Uighur
brothers currently held at Guantanamo Bay will undermine relations
between the two countries, Ma said. China maintains that these two
are members of the East Turkestan Islamic Movement, which he called
a terrorist group, and that all signatories of the UN Charter must
not shelter those who finance, plan or commit terrorist acts. Ma
said that China made its position clear to Swiss representatives at
the first working group meeting of bilateral free trade
negotiations.

Other News
----------

11. China currently has at least three laws that govern the
censorship of internet content and Google is obligated to comply
with those laws.

12. The Chinese government is working with Indonesian authorities to
rescue a seven member team of mountain climbers stranded at a base
camp on Puncak Jaya.

HUNTSMAN

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